Stellar Lumens to rally another 40% as…

Disclaimer: The data introduced doesn’t represent monetary, funding, buying and selling, or different forms of recommendation and is solely the author’s opinion.

• The upper timeframe market construction and pattern favored Stellar Lumens bulls.
• Some consolidation across the $0.155 help zone was attainable over the subsequent week.

Bitcoin [BTC] was buying and selling close to the lows of a month-long vary. Ethereum [ETH] witnessed losses over the previous week. Stellar Lumens [XLM] noticed its bullish momentum stall following these developments.

Learn Stellar Lumens’ [XLM] Worth Prediction 2023-24

The token had been buying and selling inside a spread (yellow), however there was one other option to see issues. The $0.096 degree was flipped to help on 7 July and sparked the vertical rally. This degree had served as resistance since late April.

XLM is in an ideal zone to purchase, however is the chance excessive?

Supply: XLM/USDT on TradingView

The 1-day chart reveals the highly effective breakout previous the vary (yellow) that Stellar Lumens bulls established earlier this month. On 13 July in addition they managed to drive costs previous a number of increased timeframe highs. A very powerful was the one which XLM had registered on 31 Could 2022. This was particularly important as a result of it represented a decrease excessive in XLM’s downtrend final 12 months.

The surge was backed by excessive buying and selling quantity, exhibiting huge demand and clear bullish intent. Over the previous ten days, the bulls have succeeded in flipping the $0.154 degree to help. On the time of writing XLM was buying and selling simply above this degree.

The construction and pattern have been bullish after the formation of the upper low at $0.124 on 17 July, adopted by one other transfer increased. The RSI confirmed robust bullish momentum and the OBV continued to climb increased.

The decrease timeframe chart recommended some uneven value motion or a pullback was doubtless

Supply: Coinalyze

Whereas the upper timeframe charts highlighted a wholesome bullish outlook, the 1-hour chart confirmed that XLM may see some consolidation within the coming hours and even days.

Since 20 July, the Open Curiosity has slid decrease whereas costs dithered across the $0.16 mark. The spot CVD additionally fell. This confirmed bearish sentiment prior to now three days.

Practical or not, right here’s XLM’s market cap in BTC’s phrases

Subsequently, the shorter timeframes confirmed that continued promoting stress was attainable. The 1-day chart signaled that there’s help for XLM to the $0.138 zone, however additional losses will flip the bias again to bearish.